Cleo Ricki's Bootlegger

What's Happening with Ricki's and Cleo? The Closure of Two Canadian Fashion Staples

The Canadian retail landscape is experiencing significant upheaval as Comark Holdings Inc., the parent company of popular fashion brands Ricki’s and Cleo, announces the closure of all stores under these banners. This news, which has generated a buzz of approximately 20,000 searches recently, marks a major shift in the Canadian apparel market. This article breaks down the verified information, explores the broader context, and analyzes the potential impact of these closures.

Official Coverage: Ricki's and Cleo Store Closures

According to verified news reports from CTV Toronto and the Vancouver Sun, Comark Holdings Inc. has filed for creditor protection, leading to the closure of all Ricki’s and Cleo retail locations across Canada.

CTV Toronto reported on the situation, stating, "Several Canadian fashion retailers will be closing their doors after ownership company Comark Holdings announced it has filed for creditor protection." This statement confirms the financial distress of Comark Holdings and its direct impact on its retail brands. The report explicitly links the closures to Comark’s financial difficulties, emphasizing the severity of the situation.

The Vancouver Sun further corroborated this news, detailing that "Amid a sluggish start to 2025, several Canadian clothing retailers have announced plans for store closures and restructuring. Comark Holdings Inc. the company..." The article underscores the challenging start to the year for the retail sector, suggesting that the closures are a consequence of broader economic pressures in addition to the company’s specific circumstances.

Both reports make it clear that the closures are a result of Comark Holdings' financial struggles, culminating in the decision to seek creditor protection. This means that the stores will be shuttering their doors, leaving many loyal customers and employees affected.

Background Context: The Story Behind the Closures

While the official news reports confirm the closures, supplementary information provides a broader context for the situation. It’s important to note that the following details are from various search results and require further verification.

Comark Holdings, based in Vancouver, is the parent company of not only Ricki’s and Cleo but also Bootlegger. According to CP24, "Comark is the Vancouver-based parent company of retail brands Bootlegger, Ricki's and cleo. The company currently has 221 stores across eight Canadian provinces." This highlights the significant scale of Comark’s operations and the widespread impact of the closures.

Additional sources indicate that Ricki's and Cleo have a long history in Canadian fashion retail. As stated in one source, "Founded in 1976, Comark has played a prominent role in Canadian fashion retail. Its banners, including Cleo and Ricki's, catered to working women seeking professional and casual attire." This underscores the legacy of these brands and their established position in the market. Bootlegger, meanwhile, was known for its "casual denim and..."

Furthermore, court documents cited by various sources reveal the extent of Comark's operations. "Court documents show the Ontario-headquartered company operates 75 Ricki's stores, 54 Cleo stores, 20 joint locations and about 19 sites the brands split with Comark's other banner Bootlegger." This information paints a clearer picture of the large number of stores that are affected by the closures.

It's also been suggested that Comark's financial struggles were exacerbated by several factors, including the pandemic and a ransomware attack. One source stated that a "court-appointed monitor says Comark's profitability has been negatively impacted by the pandemic, a November 2021 ransomware attack, more..." While these factors are not confirmed by the primary sources, they may have contributed to Comark's current situation.

Finally, it's worth noting that Frank and Oak, another brand associated with Comark, is also facing difficulties. According to one source, "Frank And Oak seeks creditor protection while Ricki's and Cleo shutter...", indicating that the retail group is undergoing a widespread restructuring.

Impact Analysis: What the Closures Mean

The closure of all Ricki's and Cleo stores will have a significant impact on various stakeholders. Based on the verified news reports and supplemental information:

Employees: The most immediate impact will be on the employees of the affected stores. The closure of 75 Ricki’s stores, 54 Cleo stores, and 20 joint locations, as well as 19 shared locations with Bootlegger, will result in a significant number of job losses across Canada. This sudden unemployment will likely cause financial hardship and uncertainty for many families.

Customers: Loyal customers of Ricki’s and Cleo will no longer be able to shop at these stores. This will leave a void in the market, particularly for those who relied on these brands for professional and casual attire. The Vancouver Sun reported a deadline for returns and gift card redemption, stating, "All Ricki's, Cleo stores closing, no returns/gift cards after Jan. 17..." This adds a layer of urgency and loss for customers holding gift cards or needing to return items.

Retail Landscape: The closure of these stores will alter the Canadian retail landscape. The departure of two established brands creates opportunities for other retailers, but also signals the challenges facing the traditional brick-and-mortar retail model. The sluggish start to 2025, as noted by the Vancouver Sun, indicates a broader trend of difficulties within the retail sector.

Local Economies: The closures will also impact local economies, particularly in communities where Ricki’s and Cleo stores were major retail presences. Vacant storefronts may lead to decreased foot traffic in shopping centers and malls, potentially affecting other businesses in the area.

Future Implications: What's Next?

Looking ahead, the situation has several potential implications:

Restructuring of Comark Holdings: The filing for creditor protection suggests that Comark Holdings will likely undergo a significant restructuring. As noted by the official reports, the company is looking at restructuring as the only way forward. This might include further store closures, asset sales, or changes in its business model.

Retail Industry Trends: The closures underscore the ongoing challenges for traditional retailers. The rise of e-commerce, changing consumer preferences, and economic pressures are forcing companies to adapt or face extinction. The situation also highlights the impact of external factors like the pandemic and cyberattacks on retail operations.

Opportunities for Competitors: The departure of Ricki’s and Cleo may create opportunities for other retailers to expand their market share. Competitors catering to similar demographics may benefit from the closures, attracting customers looking for alternative clothing options.

Consumer Behavior: The closures may also shift consumer behavior, with more shoppers potentially turning to online retailers or other brands. This may further accelerate the shift away from traditional brick-and-mortar stores.

In conclusion, the closure of Ricki’s and Cleo stores represents a significant event in the Canadian retail sector. It highlights the challenges facing traditional retailers and underscores the need for adaptability in a rapidly changing market. While the immediate impact is felt by employees and customers, the long-term implications will reshape the retail landscape across Canada.